INX, the inter-dealer broker and digital asset trading platform, is planning a joint venture with central bank provider SICPA to develop a central bank digital currency (CBDC) offering. While SICPA is best known for its secure inks that have been used on Euro notes, it also has extensive digital capabilities.
SICPA plans to use its advanced security features in the CBDC joint venture.
“We believe that the unique form of CBDC we are working toward is an ecosystem and not only a tech solution,” said INX’s Deputy CEO and COO, Itai Avneri. “We harness the power of blockchain (trust, efficiency, cross-border, programmability, compliance, traceability and more) to cultivate a holistic solution that addresses the key requirements for CBDC, which include privacy-preserving, security, financial inclusion, resilience, and more.”
The CBDC offering will be based on blockchain and aims to “expand interoperability between different stakeholders across borders.”
Swiss-based SICPA is no stranger to blockchain and digital identity. The U.S. Department of Homeland Security awarded a small project for decentralized identity back in 2019. The project’s aim was to ensure that digital credentials are at least as secure as physical credentials. In 2020, SICPA partnered with blockchain firm Guardtime for COVID-19 certificates. Plus, it was an early investor in Swiss digital asset custody firm Metaco which boasts several banks as clients, including Citi and Standard Chartered.
Meanwhile, INX was an early issuer of its own legally compliant security token. It subsequently acquired inter-dealer broker ILS Brokers, and launched a security token secondary market and a cryptocurrency trading platform.